Monarch Airlines, one of the UK’s most traditional airlines, has announced bankruptcy. The company is now under surveillance by the British Civil Aviation Authority (CAA).
The airline, which completes 50 years of operation in 2017, has left more than 110 thousand passengers without flying and canceled more than 300 thousand reservations, according to official statement. The carrier is not the only one to end the activities, as the Monarch Group holding company has Monarch Holidays, First Aviation, Avro and Somewhere 2 Stay.
“All future trips and flights provided by these companies have been canceled and will no longer be operated,” the CAA said.
In a statement, the organization says it is “the biggest bankruptcy of a UK airline.” The carrier’s website has been off the air ever since.
According to the CAA, the UK Government has contacted the authority to coordinate return flights to the region to all
Monarch Abroad on or before October 15. The service will have no cost to affected passengers.
Priority, according to the authority, will be to repatriate vulnerable passengers, including unaccompanied minors, and families traveling in groups. For customers who purchased tickets, CAA recommends not to go to the airports in question, since the flight will not leave.
KPMG, an airline investor, has announced that three of its executives will serve as joint management of the company.
“The mounting cost pressures and increasingly competitive market conditions in the European short-haul market contributed to the Monarch Group experiencing a sustained period of trade losses. This has resulted in the administration appointing us as administrators in the early hours of this morning, “said one of Blair Nimmo’s administration officials.
In the hands of investors, Monarch received in 2014 investments in the order of 125 million euros of Greybull capital. In note, and company lamented what happened.
“We are sorry that we have not been able to reverse this Monarch Group situation and for all the inconvenience and stress that this administration will cause to customers, employees and many people associated with Monarch. We would like to thank the employees, partners and shareholders who have worked hard over the past three years to try and make the Monarch Group a success. ”
Greybull Capital showed last August the interest in buying shares of Alitalia.